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EU courts just made grey-market gambling significantly more expensive

Valge

I-Gaming Industry Representative Gofaizen & Sherle
Joined
Nov 12, 2025
Location
Rotterdam
This came out last week, and I wanted to share it here.

A German player who lost money on two Malta-licensed platforms back in 2019-2021 — when German law still prohibited online casino games — took them to court and won at the European Court of Justice. The ruling basically confirms that holding a valid licence in Malta doesn't automatically give you the right to operate in other EU countries. The free movement of services principle that operators have been leaning on for years doesn't override national gambling bans.

What made it worse for the operators is that Germany's 2021 regulatory reform — when they switched from outright prohibition to a licensing system — didn't help them either. The court said contracts from the prohibited period are still void, and players can claim their money back for that entire period.

There was also a separate January ruling involving an Austrian player who went further and sued the directors of a Malta-licensed operator personally. The court said that under EU conflict-of-laws rules, the damage is deemed to occur where the player lives — so Austrian law applied, not Maltese. And the company being in liquidation didn't save the directors.

For operators targeting EU markets, the window to treat cross-border availability as a grey zone is closing.

From a player's perspective, it means anyone from the EU who played on a platform that wasn't locally licensed in their country during a period when it was prohibited potentially has grounds to claim losses back. Whether that triggers a wave of claims in practice is another question, but the legal framework is now there.

Sources: casino.org/news/landmark-eu-court-ruling-in-lottoland-case-could-trigger-waves-of-player-refund-claims and eegaming.org/latest-news/2026/01/16/132308
 
Unpopular I'm sure but it's wild that players can get refunded in such cases. You chose to play on those platforms and lost, games were not cheated yet you get money back because your local law allows such a thing.

Essentially freerolling the losses they had during that time period and keeping any wins too.
 
Europe never made Malta the regulatory standard. Malta simply assumed the role. However, times have changed and slowly EU member states have started to sort out regulation in their own countries. So these court cases, which are being won by players, are showing that Malta and the MGA are slowly becoming less relevant as a regulatory body in Europe.

I do not see MGA coming to an end, but I see it becoming less the 'high water mark' and more the default option when you don't have the means to create a regulatory standard in your own country.
 


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